Steel imports into Europe have risen sharply as a result of U.S. tariffs, particularly from Turkey, threatening European steelmakers as demand growth in the continent slows, European steel association Eurofer said on Oct. 24.
U.S. President Donald Trump imposed import tariffs of 25 percent on steel from most countries from March 23. It added Canada, Mexico and the European Union to the list on June 1 and doubled the rate to 50 percent for Turkey in August.
“The question for us is how long are the U.S. prices going to stay that high. There will be some correction and when prices go down the 25 percent will be more prohibitive,” he continued.
“They are pushing a lot of volumes into the EU market at any cost,” said Jeroen Vermeij, director of economic studies at Eurofer.
In the third quarter 2018, Eurofer said steel consumption had risen by just 0.6 percent, but imports increased by 10 percent, meaning EU mills were at best only able to deliver the same amount of steel as last year. Imports now make up some 25 percent of the EU market.
Eurofer said it was broadly content with the system, but the quotas were global and that country-specific quotas should apply to major exporters to help stabilise the market.